The keyword reflects the central topic of the report, combining the companies involved—Qualcomm and OpenAI—with the focus on smartphone AI chip development.

Shares of Qualcomm rose 7% after reports said the company is partnering with OpenAI to develop smartphone processing chips (27/04).

The increase occurred shortly after the market opened, even as Qualcomm’s stock remains down 13% for the year.

Chip Development Involves Global Supply Chain

Analyst Ming-Chi Kuo said Qualcomm is expected to work with MediaTek to develop the chip.

He added that Luxshare will co-design and manufacture the device.

Mass production is expected to begin in 2028, according to the analyst.

Kuo said controlling both hardware and operating systems is necessary for delivering a full AI agent service.

“Only by fully controlling both the operating system and hardware can OpenAI deliver a comprehensive AI agent service,” he said.

He explained that smartphones capture real-time user data, making them important for AI agent processing.

Broader Hardware Strategy Takes Shape

Qualcomm is known for Snapdragon processors and mobile connectivity technologies used in smartphones.

The reported partnership follows OpenAI’s acquisition of a startup founded by Jony Ive for $6.4 billion in equity last year.

OpenAI CEO Sam Altman previously said the company is designing devices that differ from smartphones and can understand user activity in a more complete way.

Separately, Luxshare has also signed an agreement to produce consumer devices for OpenAI.

PHOTO: CNBC/GETTY IMAGES

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